jeff angus watching it unfold. >> it is like a tropical forest up here. it is thick.ut the border is just a few miles away. >> reporter: sergeant cook firing two shots at sweat right before he could reach the edge of that forest. >> if he would have got in the tree line didn't shoot him. he would probably got away. sweat rushed to the albany medical center where tonight he is in serious condichlgtstion. in his bag, they found pop tarts. >> canada is right there. if you go down the road. there is a dead end road two miles to canada. [ applause ] >> for 22 days but we can now confirm as of two days ago, mr. matt is deceased and the other ep escapee, mr. sweat, is in custody. [ applause ] >> reporter: residents applauding the massive law enforcement effort. >> we are just proud. we are happy. even knowing it was our local jay cook that got the last one. i mean it just fills you with a sense of pride. >> reporter: tonight authorities say their investigation on how the two inmates was able to escape is ongoing and it has led to a weeder erwider look at clinton correctional

jeff angus watching the aftermath. >> he was just about at the tree line. if he would have got in that tree line, they probably wouldn't have got him. >> reporter: sweat was unarmed. in his bag, tools, bug spray, maps and pop-tarts. today in town, hundreds of residents celebrating in the street. their nightmare finally over. amy, people here are calling sergeant cook a hero. meanwhile, david sweat remains in the hospital. his condition improving from critical to serious. amy. >>> and it is not good news unfortunately, tonight for americans' 401(k)s. the dow plummeting 350 points. that's the worst drop all year. sparked by jitters overseas greece on the brink of bankruptcy and these images from athens atms boarded up out of cash and long lines at banks. residents told they must live on $67 a day. and now puerto rico the economy there said to be in a death spiral. abc's chief business correspondent rebecca jarvis is here. and, rebecca, everyone wants to know what this means for americans' 401(k)s. >> absolutely, amy, and i've been speaking with my sources on

jeff angus watching the aftermath. >> he was just about at the tree line. if he would have got in that tree line they probably wouldn't have got him. >> reporter: he was unarticled tools, bug spray, maps and pop-tarts in his bag. today in town hundreds of residents celebrating in the street. their nightmare finally over. amy, people here are calling sergeant cook a hero meanwhile david sweat remains in the hospital. his condition improving from critical to serious. amy. >> linzie janis, thank you. >>> and now to that wildfire in the west. in washington state, exploding in size homes destroyed more than 1800 acres burned. hundreds of families evacuated and if you look closely, you can make out what's left of that house in flames. from above entire neighborhoods destroyed and the twist embers from that fire picked up by the wind setting off new explosions. abc's neal karlinsky >> reporter: tonight, the city of wenatchee, washington, is fighting fire on two fronts, in the hillsides and homes around town. >> probably 40 50-foot wall of flame. >> reporter: reall

. >>> joining me now are jeff angus and shear berkeman who witnessed the arrest of david sweat and recorded it on their ipho iphone. tell me what happened yesterday, what did you see? what did you hear? >> we were coming down the road. we had just got back from vacation. and we seen a few state trooper cars in the road. and as we were driving by, they started running out in the field. and that's when we started videotaping. running to the back of the field. and the videotape doesn't show that great because all the trees and brush. >> tell us what we are look at. >> what's in the videos is where the troop remembers running back. they have got him surrounded. one of the gentlemen, the officers came up and told us we had to leave. >> they were surrounding him. we could tell they had him. he was signature up. he was in an upright position. they surrounded around him. >> so you guys knew -- you knew right away? did you? >> yes, we kind of -- they have been looking for them so long. we live local. constable has been a big name in the papers and everything, and on the news. yeah, we kind of figure

jeff angus watching the aftermath. >> he was just about at the tree line.ey probably wouldn't have got him. >> reporter: sweat was unarmed. in his bag, tools, bug spray, maps and pop tarts. in town, hundreds of residents celebrating in the street. their nightmare finally over. people here are calling sergeant cook a hero. meanwhile, david sweat remains in the hospital, his condition improving from critical to serious. linsey janice, abc news, malone, new york. >>> there's more testimony about odd behavior of a gunman in the colorado theater massacre. a psychiatrist said james holmes told her he was in jail because he took blood that wasn't his to take. and a former co-worker testified holmes didn't understand when someone was joking with him. the defense is trying to prove holmes was legally insane at the time of the attack. if the jury agrees he would be committed to a mental hospital. >>> turning to washington state where hundreds of people are spending the night away from their homes because of wildfires. fast moving fire you're seeing here burning 120 m